November 24, 2024
Canada Post at ‘critical juncture,’ financial situation unsustainable: board chair #CanadaFinance

Canada Post at ‘critical juncture,’ financial situation unsustainable: board chair #CanadaFinance

CashNews.co

OTTAWA — The chair of Canada Post’s board says the organization’s financial situation is unsustainable.

André Hudon says Canada Post is at a “critical juncture” and significant change is urgently needed to preserve its delivery network.

Hudon said the surge in online shopping during the COVID-19 pandemic reshaped the parcel delivery market, and Canada Post is competing with “high-tech, low-cost operators who are rapidly and relentlessly evolving.”

Hudon made the comments Wednesday at Canada Post’s annual general meeting.

In August, Canada Post reported second-quarter profits of $46 million before tax as a one-time sale of subsidiaries helped offset an operational loss of $269 million.

That’s compared with a loss of $76 million before tax in the first quarter of the year.

This report by The Canadian Press was first published Aug. 28, 2024.

The Canadian Press